Mobile Payment Innovation 2024
Summary
This report provides an overview and analysis of the current state of the mobile wallet space. It examines the market’s size on a global and country level as well as looking at what drives consumers to adopt and use mobile wallets and what deters those averse to them. The report also looks at how the market has developed over the last few years and how mobile payments will evolve and change in the future.
The mobile wallet has come a long way since it was introduced over a decade ago. Adoption and usage have witnessed exponential growth over the years in many parts of the world. The evolution over time has led to the development of two different mobile payment systems: QR and NFC-based authentication methods. Additionally, in some markets, the concept of mobile wallet-based super apps has popped up, combining functions such as taxi-hailing, food ordering and delivery, bill payments, and travel ticketing, just to name a few. As the mobile wallet is a game changer in the area of payments, it is interesting to find out how the payment environment will further change going forward. With technological advancements in biometrics, there are many strong indications that payments with the palm will be the next big thing in the payments space. Many payment industry heavyweights such as Mastercard and Visa are launching their own palm payment systems.
Scope
- While security is still a concern for consumers who are averse to mobile payments, they have been exposed to such payment methods long enough that these concerns have fallen off the top reasons they avoid paying by mobile.
- There are still segments of the market that cannot see the advantages of using mobile wallets, and they need to be handheld and shown the way.
- The fastest way to get consumers to try out mobile payments is to offer them incentives such as cashback rewards for using mobile payments.
- Gain an understanding of mobile wallet adoption and usage based on GlobalData’s annual Financial Services Consumer Survey.
- Learn about how the mobile wallet has developed over the years around the world.
- Discover what the payment industry heavyweights are planning for the future using biometric authentication.
- Introduction
- Mobile wallets have come a long way
- A lot has developed in the world of digital and mobile payments over the last decade
- Usage Growth and Future Forecast
- Mobile wallet use has led to a decline in cash payments
- Mobile wallet adoption and use to continue growing
- Understanding Consumers
- More consumers are using mobile wallets regularly
- Young consumers are leading mobile wallet adoption
- Papara, a financial platform for Gen Z in Turkiye
- Consumers averse to mobile payments need convincing
- The older the segment, the more convincing they need
- The Global Evolution of Mobile Payments
- NFC and QR are the two dominant systems in mobile payments
- Market nature determines whether to adopt NFC or QR
- The concept of super apps has surfaced, but their market introduction is not easy
- Super apps have popped up mostly in developing markets
- Super apps were slow to catch on in Western markets due to the markets' nature
- What Convinces Consumers?
- Incentives are the best way to encourage adoption
- Incentives are the most important incentive for those under 55
- Incentivizing consumers is an essential process in getting them to change
- Providers must give consumers a reason and opportunity to use their mobile wallet
- Convenience is the largest driver of mobile payment usage
- Consumers of all age groups almost uniformly agree that convenience is key
- The Future of Mobile Proximity Payments
- Biometric authentication will eventually take over mobile payments
- Palm and vein print scanning will be the way forward
- Visa, Amazon, and Ingenico have showcased their own palm biometric payments
- Key Takeouts
- Appendix
Research Assistance
Download our eBook: How to Succeed Using Market Research
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.
Download eBook